In a normal business scenario, Manufacturing plays an important role as it is a key part of any business process. Manufacturing is the creation or production of goods with the help of equipment, labour, machines, tools, and chemical or biological processing or formulation. It is the essence of the secondary sector of economy. The manufacturing sector is closely connected with the engineering and industrial design industries.
An allocation is a critical element of the whole Sales cycle and distribution cycle.
Manufacturing Resource Planning (MRP) is an integrated information system used by businesses. Manufacturing Resource Planning (MRP) evolved from early Material Resource Planning (MRP) systems by including the integration of additional data, such as employee and financial needs.
The system is designed to centralize, integrate, and process information for effective decision making in scheduling, design engineering, inventory management, and cost control in manufacturing.
In some business scenarios, there might be a situation where we want to manage allocated quantities on the orders. If the quantity allocated on sales order is above the ordered quantity then we can use the below parameter to include or ignore allocated quantity.
So in Sage X3 we have one parameter in the Stock module with the help of which we can include or ignore allocated quantities while using the MRP process.
Steps to follow :
First we need to navigate to All -> Setup -> General Parameters and open the ‘REA’ group (i.e. Reorder) of the ‘Inventory’ chapter. Kindly refer below screenshot for the same.
After opening the ‘REA’ group of ‘Inventory’ chapter, just change parameter MAXALLQTY (i.e. Integrate allocated qty) to either ‘Yes’ or ‘No’. Kindly refer below screenshot for the same.
So this parameter can be set to either folder wise or legislation wise or company wise or site wise whichever way is preferred we can set the same.
The parameter has only two values ‘yes’ and ‘No’. Below is the use of the same.
This parameter is used when running the MRP (Manufacturing Resource Planning) and the quantity allocated to a sales order line is above the ordered quantity.
You use it to indicate if the MRP must include the allocated quantity or not:
Yes – The MRP processes the allocated quantity as a demand coming from the sales order. For example, if the allocated quantity on the order line is for 15 products but the ordered quantity is for 10 products, the MRP will process a demand for 15 products for this sales order.
No – The MRP only processes the ordered quantity and ignores the allocated quantity.
The following functions are associated with this parameter :
● Stock > Reorders > MRP processing
● Manufacturing > Planning > MRP processing
Note : In some exceptional cases, it is possible to manually allocate a quantity above the ordered quantity to the sales order line.
By the help of the above blog, we can Integrate allocated qty using Material Resource Planning (MRP).